Second Term Examination Business Studies Basic 7 (JSS 1)

Last Updated on July 16, 2020 by Alabi M. S.









Answer all questions

1. The main reason why an individual goes into business is to _________________.

(a) reduce the price of goods

(b) help the poor

(c) make profit

(d) develop the society


2. Aids to trade include the following except _________________.

(a) insurance

(b) trading

(c) banking

(d) advertising


3. The following are factors of production except _________________.

(a) labour

(b) industry

(c) capital

(d) land


4. A profession which occupies one’s time and through which one earns his/her living is called _________________.

(a) talent

(b) skill

(c) engineer

(d) occupation


5. The person who is the sole provider of business capital and suffer losses alone is called the _________________.

(a) partner

(b) trader

(c) salesman

(d) sole proprietor



6. The two major divisions of trade are _________________ and _________________.

(a) commerce and industry

(b) home and foreign

(c) import and export

(d) wholesale and retail


7. The services rendered by commercial drivers, private doctors etc are classified as _________________.

(a) direct service

(b) producer goods

(c) indirect service

(d) services


8. A business organization with unlimited number of shareholders is known as

(a) sole proprietorship

(b) partnership

(c) private company

(d) public company


9. Which of the following is not a reward for being truthful?

(a) bad reputation

(b) good reputation

(c) promotion

(d) useful suggestion


10. The minimum number one can find in a partnership business is _________________.

(a) two

(b) four

(c) seven

(d) twenty



11. The book signed by people who visit an office is known as _________________ book.

(a) visitors’

(b) welcome

(c) office

(d) time


12. The industries that turn raw materials into finished goods are called _________________ industries.

(a) mining

(b) construction

(c) coal

(d) manufacturing


13. Goods imported for the purpose of exporting to another country is _________________.

(a) entrepot

(b) entrsort

(c) entrepreneur

(d) enterprise


14. A book keeper must have the following qualities except _________________.

(a) be careful and accurate with figures

(b) write legibly

(c) be able to operate calculating machines

(d) be able to defraud the business


15. The person that contributes capital and does not take part in the running of the business is called _________________ partner.

(a) active

(b) general

(c) limited

(d) sleeping



16. Trade between two countries is known as _________________ trade.

(a) boundary

(b) home

(c) foreign

(d) local


17. One of the jobs performed by the clerical personnel is _________________.

(a) communication with visitors

(b) staffing

(c) planning

(d) organizing


18. _________________ is the source of the cooperative society capital.

(a) Bank

(b) Cooperators

(c) Public tax

(d) Borrowing from government


19. Which of these pair may not go together?

(a) capital, interest

(b) organizer, profit

(c) land, rent

(d) entrepreneur, wages


20. Which of the following is referred to as ‘partnership agrrement’?

(a) Article of Association

(b) partnership deed

(c) prospectus

(d) memorandum





Answer four (4) questions in all.


1a. Who is a Sole proprietor?

1b. State two attributes of sole proprietorship.

1c. State two advantages of a limited liability company.

1d. State the minimum number and the maximum numbers of a partnership business.

1e. List two information in the Deed of partnership.


2a. State two factors that affect occupation.

2b. What are the types of occupation?

2c. Give one example of a direct service and one example of indirect service.

2d. State two consequences of not being truthful.

2e. State the rewards of being truthful.


3a. What are ethics?

3b. State two ethics of sourcing for chemicals.

3c. Define an enterprise.

3d. Differentiate between private and public enterprises.

3e. Give one example of private enterprise and an example of a public enterprise.


4a. Who is a consumer?

4b. State two importance of consumer education.

4c. State three effects of lack of consumer education.

4d. State two characteristics of chemicals suitable for home use.

4e. Define a chemical.


5a. What is book keeping?

5b. State any two importance of book keeping.

5c. List five qualities of a bookkeeper.

5d. What are the books of original entry?


Best of Luck




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